IMF working on alternate measures as US blocks reforms

Washington: With US stalling quota reforms in the IMF that would increase the stakes of emerging countries like India, the world body said it is working on alternate measures to go ahead with much-needed reforms that reflect the ground realities of the 21st century.

The IMF Executive Board said it would take another six months to map out the reform and thus complete the 15th review by December 15, 2015. The 2010 reforms were backed by the US but now are being blocked by the US Congress.

The IMF Executive Board, in a statement, proposed to adopt a resolution expressing "deep regret" that the 14th review quota increases and the Board Reform Amendment have not become effective and that the Fifteenth Review has not been completed.

Urging members to accept the 2010 reforms without further delay, with the US being the main stumbling block, the resolution calls on the Executive Board to work expeditiously and to complete its work as soon as possible on interim steps in the key areas covered by the 2010 reforms.

As such, this would enable to reach an agreement on the steps that represent meaningful progress towards the objectives of the 2010 reforms by June 30, 2015, the statement said.

The proposed resolution stresses that such interim steps should not in any way be seen as a substitute for the 2010 reforms, which remain the highest priority, it said.